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ScienceDirect Procedia Economics and Finance 21 (2015) 178 – 184

8th Nordic Conference on Construction Economics and Organisation

BIM implementation and organisational change: A case study of a large Swedish public client Hannes Lindblada,* and Susanna Vassa a

Royal Institute of Technology(KTH), The School of Architecture and the Built Environment, Stockholm, 100 44, Sweden

Abstract One of the current trends in the construction industry’s effort to increase performance is to implement Building Information Modelling (BIM). Recent research suggests that changes to the work practices and business processes must accompany the implementation process if the desired goals and expectations of implementing IT are to be met. However, there is still limited knowledge on what types of change are required in an organisation as a whole in relation to BIM implementation. The purpose of this study is to explore how a large public client is initiating BIM implementation in their organisation. The main focus is to investigate what types of changes are being proposed to the work practices and processes in relation to BIM implementation. This paper studies the BIM initiation project at a large Swedish public infrastructure client. It is based on a case study involving both interviews and active participation. The findings indicate that the BIM initiation project proposes changes to the routines for how projects are initiated and conducted by introducing the concept of BIM in guiding documents. Yet, how these changes will influence the actual work practices and process is unclear. From these results, it can be argued that the organisation as such is not yet certain of how the implementation of BIM should and will influence the organisation. Rather, the initiation of BIM at the public client is a learning process about BIM and how it can improve productivity in the organisation. ©©2015 by Elsevier B.V.byThis is an open 2015Published The Authors. Published Elsevier B.V. access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Selection and/ peer-review under responsibility of Tampere University of Technology, Department of Civil Engineering. Selection and/ peer-review under responsibility of Tampere University of Technology, Department of Civil Engineering Keywords: building information modelling; BIM; implementation; organsiational change.

* Corresponding author. Tel.: +46 70-479 66 65 E-mail address: [email protected], [email protected]

2212-5671 © 2015 Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

Selection and/ peer-review under responsibility of Tampere University of Technology, Department of Civil Engineering doi:10.1016/S2212-5671(15)00165-3

Hannes Lindblad and Susanna Vass / Procedia Economics and Finance 21 (2015) 178 – 184

1. Introduction The construction industry is described as a highly fragmented and project-based industry that operates in an uncertain and fast changing environment (e.g. Dave and Koskela, 2009). It suffers from low productivity and lagging behind other industries in terms of IT usage (e.g Betts et al 1991, Gallaher et al. 2004). There is also a lack of sufficiently formulated IT strategies that fully recognize the role of IT in the construction industry (Andresen et al 2000). At the same time, attempts have been made on improving productivity, and there has been increasing focus on how productivity can be increased by utilizing information and communications technologies (ICT), of which Building Information Modelling (BIM) has received particular interest (Azhar 2011). Also, the interest for BIM has been growing with large public clients taking a leading role and demanding BIM in their projects. For example, In Sweden a large public client of infrastructure is taking a role in the implementation process of BIM with the clear goal of increasing productivity. However, recent BIM research tends to focus on finding solutions for the technical difficulties with BIM (e.g. Grilo and Jardim-Goncalves 2010, Hallberg and Tarandi 2011) and on identifying the benefits with BIM use (e.g. Barlish and Sullivan 2012). How well these benefits can be generalized beyond the specific project can however be questioned (Kang et al 2012). There has also been less research has focused on how BIM implementation influences the work practices and processes within the organisation to reach the desired goals and expectations. The research field of IS/IT have discussed how organisational change is a requirement for the successful implementation of IT in order to increase productivity (Brynjolfsson and Hitt 2000). In an attempt to account for how BIM induces changes in an organisation, this paper studies the BIM initiation project at a large Swedish public client. The purpose of this paper is to explore what the process of organisational change from BIM looks like and explore how the actual work practices are changing as a result of BIM implementation. As Sweden’s largest public client that procures the majority of Sweden’s infrastructure projects, the public client studied in this paper is considered the leading client of procuring infrastructure investments as well as infrastructure maintenance. The public client’s implementation of BIM thus has a large impact on the construction industry as a whole. Studying the implementation of BIM at the large Swedish public client thus provides researchers and practitioners with valuable knowledge and insight into the how BIM is used and implemented and into how the processes of the organisation change as a result of implementing BIM. 2. Method This paper is part of a research project studying the BIM implementation at the largest public infrastructure client. The research project is conducted over a five year period, and studies the BIM implementation within the organisation. The research project has currently been conducted for one year, and has observed the concluding stage of the BIM initiation project, and will continue to observe the further process of BIM implementation over the coming years. This paper is based on a review of previous literature of information technologies (IT) and information systems (IS), which was preformed to gain a deeper understanding of how IT is to be implemented in order to gain the benefits of IT. The focus on has been on how organisational change impacts the realization of benefits of IS/IT implementation. A case study of how a large Swedish public client introduces BIM into its organisation was carried out. The implementation of BIM is conducted through a so called “BIM initiation project”. In order to see to that BIM is being implemented and used in the organisation, changes to the steering documents that describe the work processes of the public client are proposed as a result of the BIM initiation project. The case study involves studying what changes are being made to these steering documents and involves participant observation of some meetings of the BIM initiation project. An in-depth semi-structured interview is also carried out with the manager responsible for the BIM initiation project. Through an in depth semi structured interview, in combination with the case study and literature review, triangulation is enabled that allows this paper to look at the issue of the implementation of BIM form various angles (Denzin, 2006).

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There are limitations to this paper. The BIM initiation project, studied in this paper, is only a first step in a longer process of BIM implementation within the organisation. This first step will be concluded in the early 2015, therefore the long term effects of the BIM implementation cannot be studied at this stage. Therefore, this paper focuses of how the BIM initiation project proposes changes to some steering documents. Further studies are needed to explore how these changes will affect the organisation on a longer term. Another limitation concerns interviewing only one person from the BIM initiation project – the project manager of the BIM initiation project – as interviewing only one person might bias out understanding of the public clients BIM implementation. 3. Literature review 3.1. The relationship between IT, organisational change and productivity In the research field of IT/IS, it has been recognized for a long time that IT creates value under certain conditions (e.g. Davis 1989). For example, Brynjolfsson and Hitt (2003) explain how changes must occur to the organisations processes and structures alongside the introduction of IT if the organisation if to reap the full benefits of IT. Brynjolfsson and Saunders (2010) argue that organisations must invent new forms of organisational capital and reshape their business processes. Organisational change can include more innovative forms of sharing information, decentralizing the decision-making process, creating economic incentives to IT use and investing in IT training and education (Brynjolfsson and Saunders 2010). The relationship between utilizing information and communication technologies and changes in productivity has engaged researchers in IT/IS for a long time (e.g. Barua et al 1995, Keen 1981, Venkatraman 1994, Brynjolfsson 1993). The relationship between an organisations investments in IS/IT on one hand, and increases in productivity, on the other hand, have been questioned in research and been described as the “productivity paradox” (Brynjolfsson, 1993, Brynjolfsson and Yang 1996). Brynjolfsson & Hitt (2000) continue to describe how information technology is an enabler for developing the organisation and its business and work processes, and that it is by such changes that productivity can be increased. In the IT/IS research field, however, there are frameworks that better describe the change activities that are required for achieving different levels of IT benefits. For example IT/IS research, such as Venkatraman (1994) provides a framework for assessing the maturity of IT investments and the level of organisational change that is required for achieving the potential benefits of IT. Venkatraman (1994) describes how IT can be used at its most basic level with minimal learning, but argues that in order for IT to reach its full potential; firms must make changes to their organisations and their business processes and work practices. These changes include reshaping organisational roles and responsibilities, making manages aware of the importance of providing leadership for IT, among other things. But in order to reach the full potential of IT, the changes made to the business processes and work practices cannot be isolated within the organisation itself, but must include the network of partners of the organisation. IT enable business transformation within a single organisation, but the benefits of IT are realized to their fullest only once the changes include the organisations network of partners (inter-organisational change). 3.2. The relationship between BIM, and organisational change In the BIM research field, there has been studies on the use of BIM and how it influences change (e.g. Succar 2009, Froese 2010). For example Succar (2010) argues that in order to achieve successful implementation of BIM, and make use of its potential benefits, there is a need to understand how the implementation of BIM is dependent upon conducting the necessary changes in the organisation. Similarly, Froese (2010) argues that in order for BIM to achieve its full potential, changes in the organisation, work practices and skills of the project participants are required.


It has been argued that BIM generates change (e.g. Watson 2010), to describe how BIM can influence and is influenced by associated actors a research framework has been developed by Succar (2009). This framework presents BIM in a multidimensional setting, relating BIM not only to technological aspects but also organisational. Within this framework BIM implementation is further described as a progressive development of interacting policies, processes and technologies influencing different actors and organisations. Succar (2009) divides this increasing maturity of BIM adoption into four different maturity stages. Similarly to frameworks describing IS/IT implementation Succar (2009) describes how higher maturity stages of BIM implementation will require gradually larger changes to the organisations business processes and work practices. It is also argued that, at higher levels of BIM implementation inter-organisational cooperation will be in focus, demining changes not only by individual actors but rather collectively between disciplines (Succar 2009). It has been found that with increasing experience with BIM, firms tend to evolve to higher maturity stages of BIM and being more willing to share models within the project network (Taylor & Bernstein 2009). 4. Results 4.1. The BIM initiation project The introduction of BIM at the public client is carried out through a “BIM initiation project”. This project was initiated as a response to a Swedish government directive from 2013 in which the Swedish General and Executive Board made the formal decision to impose BIM use and implementation at the public client. The main goal for the BIM implementation is to increase productivity, both internally within the organisation but also by demanding BIM in procurement in order to drive development towards more BIM use in the industry. The public client’s major task is to manage the existing infrastructure consisting of roads and railways, and to invest in new infrastructure. The public client in this study is the largest actor that procures infrastructure projects of considerable amounts, which enables the public client to impact the actors of the infrastructure market and thus lead and drive development of BIM in Swedish infrastructure. As Sweden’s largest public procurer the public client has a large impact on the construction industry as a whole. The BIM initiation project has resulted in a referral consisting of suggested changes to steering documents. In an attempt to implement BIM in the organisation, the steering documents that describe and support the working methods and work processes of the organisation are being changed and re-formulated as a result of BIM. The BIM initiation project will finish in early 2015, and the work will be continued in the departments of investments and large projects. BIM initiatives are also taking place in facilities management, but these are not dealt with in the referral but are ongoing activities in other parts of the organisation. BIM will by the year of 2015 BIM become a new department in itself and a new area of expertise alongside the departments of investment, large project and facilities management. 4.2. Overall proposed change activities Within the BIM initiation project, the view of BIM is subdivided into three areas: product (model and technical issues), organisation (providing necessary resources) and process (work practices and processes). The aim of the BIM initiation project is to create the right conditions for the BIM implementation, and this is done through various activities. These activities are categorized into management systems related to BIM, measurements of BIM, BIM skills and competencies and BIM education and resources. These four activities in turn describe the organisational changes that are believed to be crucial for the BIM implementation, and describe the organisational change that is taking place as a result of BIM implementation. The case study reflects that change activities are taking place on four levels. At the management systems relating to BIM, changes include defining a lowest level of BIM use, mentoring and tutoring of BIM, providing new role descriptions that include BIM coordinators and BIM managers, adoptions of the industry standards and the development of concepts and definitions of BIM. At the BIM measurements level,

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surveys investigate the knowledge and attitude of BIM, qualitative measurements of BIM are being performed and key performance indicators of BIM are being developed. At the BIM skills and competencies level framework agreements for BIM coordinators and BIM manages are developed. At the BIM education and resources level, BIM courses are being provided promoting overview courses as well as in-depth courses.

4.3. Proposed changes in the referral The case study also reflects that in order to ensure the implementation of BIM in the organisation, changes in the steering documents that describe the work processes of the public client are being made through the BIM initiation project. Overall, the major change suggested to the steering documents, involves creating an awareness of BIM much earlier in the project initiation process by forcing projects that are in their start-up phase to give a written account of how they are planning to use BIM in the project. For example, projects in their start-up phase must consider and elaborate on BIM-related issues as early as in the preliminary project specification. Projects in their early project initiation process must also be able to describe what kind of work the public client has done previously regarding BIM and be able to describe how this work can contribute to their own project. The steering documents also describe how each project early on must create new roles as a result of BIM and designate one person responsible for the use of BIM (e.g. BIM manager), as well as designate technical BIM coordinators. There are currently three phases in which staff enters a project. BIM competencies are suggested to enter the project at the final staffing phase. It is suggested that the project manager will be responsible for seeing to that BIM is considered in the early stages of the project start-up and in the finalized project specification. Another change to the steering documents includes the addition of an attempt to define a lowest level of BIM usage that applies for all started BIM projects. All newly started BIM project should either all use BIM at the lowest defined level, or use BIM beyond the lowest defined level. Changes made to the steering documents also regard the support needed for those projects planning to use BIM at the lowest defined level. For example, there has to be designated BIM specialist available for support and help. In the case that projects want to use BIM beyond the lowest defined use, the steering document clarify that resources for using BIM beyond the lowest defined level must be provided for those as well. The definition of the lowest level of BIM use in the steering documents is quite extended and a lowest defined level of BIM use is difficult to discern. It involves, among other things, going from a drawing oriented work process to an object oriented work process (a change in the product), developing BIM competencies such as BIM managers and BIM coordinators (a change in the organisation), and utilizing the models to support collaboration, clash detections and for presenting and discussing the relevancies of the project (a change in processes). Within the referral the public client is also making changes and modifications to its contracts. The implementation of BIM induces changes in the various contract templates. For example, the contract templates now demand digital models of the plants and object oriented processes instead of drawings oriented. The contract templates now also clarify the issue of proprietorship of the digital models and demand a right to use the digital models of the plants and the document generated thereof. The contract templates also demand a BIM manager from both the public client and from the partners. With regard to the technical aspects of BIM, the steering documents present clear and distinct directions in the technical documents. For example, what type of software to use, what type of files, formats and exchange formats to use, which versions to use etc. are clearly defined in the steering documents. The demands from the public client on its business partner’s usage of BIM is also clearly defined, as are the procurement documents which the public client will use in its procurement to demand BIM from its partners. However, with regard to education and tutoring the steering documents are incomplete. The steering documents regulating the tutoring and support for projects using BIM is still work in progress and how the tutoring will commence is still being evaluated.


5. Discussion The main purpose of the BIM implementation was described as increasing productivity. How BIM actually influences productivity, however, remains unclear. As Brynjolfsson and Hitt (2003) imply, it is investments into organisational change and improved work practices that generate increases in productivity rather than the implementation of IS/IT in itself. This paper acknowledges similarities between the research fields of IS/IT implementation and BIM implementation. For example the description of how IS/IT influences the organisation, as described by Venkatraman (1994), is similar to the framework by Succar (2010) in that the technology can be implemented to different levels with different outcomes. Both these frameworks argue for how changes are more prominent at higher level of implementation. Together these research fields argue for how it is the changes to the organisation and development of more efficient work practices that generate the sought after increases in productivity. These changes are dependent upon which maturity stage BIM is being implemented at. This study examines how a large Swedish infrastructure client initiates their implementation of BIM. Their view of BIM is subdivided into three different areas: product (model and technical issues), organisation (providing necessary resources) and process (work practices and processes). In accordance with the research by Brynjolfsson and Hitt (2003), it can be argued that it is mainly the changes to process that will have an impact on productivity. However, following the framework by Succar (2010), changes in “process” is enabled by supporting changes in the “product” and “organisation” of the BIM implementation. The analysis of the actual changes proposed in the referral argues for that the focus of the BIM initiation project is mainly on the “product” and “organisation” area. These changes can for example be found in the organisation, defining new roles (BIM coordinator) and in regard to the product, the definition of how the models should be developed and what they should contain. In regard to these two areas the changes are well defined with clear guidelines. This is especially true for the technical aspects of the models which are the clearest part in the material analysed. However, the “process” area much more undefined, leaving more liberty for how actual projects can use the new possibilities with BIM. For example, the proposed lowest defined level of BIM is quite unclear and difficult to grasp, which leaves each project manager responsible for interpreting BIM. It can be argued that the larger focus on the areas of “product” and “organisation”, is in line with the aim of the BIM initiation project, which is to create the right conditions for the BIM implementation. However, the sought after increase in productivity is not likely to be researched until the “process” area is also considered. 6. Conclusion BIM is currently on the verge of being implemented with the articulated goal of increasing productivity. Research argues that it is changes to work practices and processes following this implementation that generate increased productivity. However, in order to support such changes, enabling factors in regards to the technological and organisational aspect must be in place. From this study it can be argued that the public client organisation currently implementing BIM is not certain on how work practices and processes will change as a result of the implementation. Instead, the focus has been to establish an organisation that supports the use of BIM by ensuring the quality of the technological and organisational side of BIM. 7. References Andresen, J., Baldwin, A., Betts, M., Carter, C., Hamilton, A., Stokes, E., Thorpe, T., 2000. A Framework for Measuring IT Innovation Benefits, ITcon 5, 57-72. Azhar, S., 2011. Building information modeling (BIM): Trends, benefits, risks, and challenges for the AEC industry. Leadership and Management in Engineering 11(3), 241-252. Barlish, K., Sullivan, K., 2012. How to measure the benefits of BIM — A case study approach. Automation in Construction 24, 149-159. Barua, A., Kriebel, C.H., Mukhopadhyay, T., 1995. Information technologies and business value: An analytic and empirical investigation. Information systems research 6 (1), 3-23.

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